Oil markets held largely steady on Tuesday, even as OPEC producers Saudi Arabia and Iraq pointed to a reduction in supplies in line with efforts to tighten the market and prop up prices.
Prices were capped by rising US shale output and fears that another strong hurricane hitting the Caribbean could knock out refineries and disrupt shipping to and from the United States.
Brent crude futures, the international benchmark for oil prices, were at $55.50 per barrel at 0653 GMT, up 2 cents from their last close.
US West Texas Intermediate (WTI) crude futures were at $50.01 per barrel, up 10 cents, or 0.2 per cent, from their last settlement.
Iraq’s oil minister Jabbar al-Luaibi said on Tuesday that his country’s crude oil production was currently at 4.32 million barrels per day (bpd). That compares to almost 4.5 million bpd in May and June.
His comments came after data showed Saudi crude exports fell to 6.693 million bpd in July, down from 6.889 million bpd in June.
US shale production is set to rise for a tenth month in a row in October, the US government said late on Monday.
Output across seven shale plays is forecast to rise by nearly 79,000 bpd to 6.1 million bpd, according to the US Energy Information Administration.
